Much has been written about the huge surplus that the governor and our legislators will be trying to divide up in the current session in St. Paul. Whether to put the majority into refunds or to create a “rainy day” fund with a large portion of the surplus will be on the table this session.
Governor Ventura has proposed sweeping changes in the income tax structure along with altering the scope of the state sales tax. He also is saying that this is the time for a leaner budget. The effort by the governor to create a tight budget might just mortgage the future for Minnesotans.
The surplus gives the Legislature and the Governor an opportunity to correct existing problems and invest in our state’s future. Three of these problems and investments include transportation funding, tax equity, and equal opportunity in our public schools.
While the metropolitan area has its own well-publicized transportation troubles, drivers in Greater Minnesota are the victims of road expansion projects that languish unfunded. To make matters worse, metro legislators could raid Greater Minnesota highway funding to fund expensive transit projects in the Twin Cities.
Highways are critical to our economic growth and safety, and the fact that they have been under-funded for years should concern us. The budget surplus means that now is the time for our legislators to fight for more funding by passing a constitutional amendment that would dedicate the sales tax on cars to our highways.
Local Government Aid (LGA) and Homestead Agriculture Credit Aid(HACA) are two property tax relief programs on which Little Falls and other cities depend. Without those programs, cities would be forced to reduce services and increase property taxes.
State funding for those programs has dwindled over the years. LGA has not kept up with population growth and inflation, leading to a 12 percent decline over the last ten years. This decline could translate into a reduction in the police force, lower snow removal budgets, or a variety of other reductions, or a property tax increase. Little Falls has long advocated for an increase in LGA and HACA funding
The Governor has proposed major changes to the way the state funds K-12 education. In his proposal, the state would take over the cost of the general education levy. The plan would give wealthier school districts money from the state, and offer very little relief to poorer school districts. His suggestion is that districts could just pass a referendum for more money if they needed it. That is far easier in the wealthy suburbs than it is in Greater Minnesota. The proposal would also have a direct effect on local property tax, though the ramifications of it are still unclear.
Many of you reading this went to the polls last Tuesday. The smoking ban ordinance brought out many people to vote on the issue. I want to encourage everyone who got involved to continue to be involved in other issues as they come up. We are a better community when we become involved and educated on issues.
I believe that the person who said that the vote was a waste of money insulted everyone who voted, no matter which side of the issue. Community involvement in decision making is what a democracy is all about.
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